Demand 50 per cent share in earnings from multiplexes.
Demanding “fair rights for Friday nights”, Bollywood actors Shah Rukh Khan and Aamir Khan came together to voice the sentiments of the Bollywood fraternity over their demand for equal share of profit with multiplex owners. Failing to reach a mutually-agreeable revenue-sharing agreement, Bollywood producers have not released their films in multiplexes since April 4.
The bone of contention between the producer-distributors and multiplex owners is the revenue-sharing model, with producers demanding a 50 per cent share in the earnings and multiplex owners preferring to stick to the current model of 40 to 48 per cent, depending on the film’s performance.
“We, as entertainers, feel sorry for not being able to show new films for some time and we are here to explain our side of the argument,” said Aamir Khan in Mumbai at a press conference.
Pitching for an equal share for producers, Aamir said: “There is a need to relook at the revenue-sharing model. The gross and net profits made by the films have increased over the years, but the share of producers and distributors remains the same.” Film actor Shah Rukh Khan urged for ‘fair rights for Friday nights’, referring to a fair revenue-sharing agreement for the films released across multiplexes every Friday.
Commenting on the issue, Alok Tandon, CEO of Inox Leasuire, a multiplex chain, said: “We are ready to talk to the Bollywood producers. In fact, we have suggested that a sub-committee be formed by the two parties to look into the various contentious issues. Ideally, we would like a performance-based revenue-sharing formula between us and the producer-distributors, or else we will be forced to shut our shops.”
Industry estimates say that 30-odd films, including small- and medium-budget films, are now held back because of the deadlock. Some of the films that were slated for release this summer but are now being held back are Kambakkth Ishq, Love Aaj Kal, Kal Kisne Dekha, Jashn, Luck, Aladin, Kaminey, Main Aur Mrs Khanna and New York, among others.
